Non-compete clauses… could become non-existent. The Federal Trade Commission proposed a rule that would end legal agreements that keep workers from switching to rival companies after leaving their jobs. From C-suite execs to security guards, nearly 30M US workers are under non-compete agreements, and breaches can lead to pricey fines and lawsuits. Meanwhile, workers who do comply can miss out on higher pay and better working conditions. A ban could boost US wages by nearly $300B/year and help close the racial and gender pay gaps.
Adding insult to injury… there’s more trouble for crypto lenders. Last week the SEC charged Gemini and Genesis with selling unregistered securities through their lending program. The crypto cos had offered returns (aka yield) as high as 8% via Gemini Earn — then it went south. Before it went bankrupt, BlockFi paid $100M after the SEC said its interest-bearing accounts were unregistered securities. Going forward, crypto lenders may be forced to register their products as securities or face the costly consequences.